Hamas has indicated on several occassions that they would accept a peace based on the 1967 borders. The so called "Saudi Plan". Each time this has been mentioned, it has been ignored by Israel. Israel really needs Hamas to remain hostile. Israel opposes any peace at all costs. In the event that Israel is one day forced to make peace, leaving Hamas out of the process will insure that the peace fails and therefore Israel wins. Expansion could continue and peace would be discredited.
Stabbing reported in Kiryat Gat in southern Israel (Haaretz)